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Some years ago, Starbucks Corporation accused an employee and her husband of embezzling $3.7 milion by billing the company for services from a fictitious consulting firm. The couple created a phony company called RAD Services Inc. and charged Starbucks for work they never provided.. The employee worked in Starbuck's Information Technology Department. RAD Services Inc. charged Starbucks as much as $429,800 for consulting services in a single week. For such a fraud to have taken place, certain control activities were likely not implemented. Identify and describe these activities.
Create a memo to a group of students interested in pursuing careers in management accounting. Include in the memo, the role of management accounting and how management accounting may differ based on different types of companies or industries.
Explain how should this transaction be reported in Happy’s 12/31/09 year-end financial statements (balance sheet, income statement, cash flow statement)? Give amounts and accounts. Also, the effect on the balance sheet must balance.
The fiscal 2009 balance sheet reports net operating assets of $5,995,633. Illustrate what is Neptune’s 2010 net operating profit margin?
Why do you think that this amount is not shown in a separate inventory account? In which of the accounts shown is the inventory likely to be? At what point will the inventory be transferred to a separate inventory account?
Is variable costing appropriate in a capital-intensive environment where robotic equipment performs most of the conversion of raw materials to a final product such as in a BMW plant?
Which of the subsequent situations is not need in order to use the completed-production technique of revenue recognition?
Evaluate the amount of depreciation expense that can be recognized under each of the subsequent depreciation methods in the first and second years of the truck's useful life.
Per unit selling price for Product B is $75 and for Product C is $50. Create an analysis that shows whether or not the 20,000 units of Product A should be processed further.
Give the proper journal entries for each of the subsequent occurred in 2011.
Write a 700- to 1,050-word paper explaining economic issues that bring concern to pricing your services and products. What ethical challenges will you face in hiring non-CPAs? Illustrate what standards apply?
How well reported net income of $100,000 in 2010 and $120,000 in 2011 while paying $40,000 in dividends each year. Compute the amount of unrealized intra-entity inventory profit to be deferred on December 31, 2010 and 2011?
Cocker issued 10,000 additional shares of common stock for $35 per share. Popper acquired 8,000 of these shares. Explain how would this transaction affect the additional paid in capital of the parent company? Please show me the work.
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